inflation target. In contrast, I show that the standard New Keynesian monetary model predicts that nominal interest rates should …

Is inflation persistence in the new EU Member States (NMS) comparable to that in the euro area countries? We argue that … show that due to frequent breaks in inflation time series in the NMS, parametric statistical measures assuming a constant …-varying mean leads to the reversal of this result and suggests similar or lower inflation persistence for the NMS compared to euro …

complementarities in price setting delivers a strictly positive optimal inflation in steady state, differently from standard New … inflation curbs the markups, especially those of the more productive firms, hence attenuating the inefficient dispersion of … markups. At low levels of inflation, the gains from the reduction in misallocation outweigh the cost of inflation …

. Our analysis improves upon existing work by endogenising the volatility of both output and inflation. Improved …

We analyse the adjustment of retail and services prices in a period of low inflation, using a set of individual price …

the quasi- difference of inflation is used in the loss function, as in the hybrid new Keynesian model. Overall, the …